Markup Using Price Codes

Price codes can be used to set different sets of cost rates and/or selling rates for the same product and rate period(s). A price code (or multiple price codes ordered by priority) can be attached to an agent record.

When a quote or booking is built for the agent, for each service selected in the itinerary the appropriate price code will be used when Tourplan NX is establishing prices for the service. The process selects the first price code in the agent’s list, and if available, that is what is used. Otherwise the process tries the second price code, and so on until a valid rate is established; or if no more price codes exist the service is unavailable.

This means that varying prices can be set up in services in the Product database, differentiated by price codes.

 

Discount Commission Markup Matrix

NOTE: Note: Markups can be applied in Tourplan NX at different levels and at different or varying rates.

An alternative method of marking up services from the database is by using the Discount / Commission / Markup (DCM) Matrix which is more involved, but provides a greater level of markup flexibility.

Each price code is attached per service, per validity rate period(s), and it can be used to set the service cost provided by Supplier along with the markup selling rate.

Markups applied at the Product Level - either by Price Code or DCM - will apply to the total Service being added to the Quote/Booking. That means all components of a service - the main product and any Extras - will attract the same markup. For example, an Accommodation Service with optional (and additional) Breakfast added will have the total of room & breakfast marked up at the same rate.

Considerations

Do you intend to have all-inclusive rates for your product, or will your products have extras available as selectable options?

Furthermore, if you are intending on having your rates loaded as a Main Option price plus extras, is the markup value the same for the extras (e.g. Breakfast), as well as the Main Option?

When planning on Price Code setup

Consider the two methods available:

• Setup Price Code in services in the Product database with the cost given by Supplier along with markup selling price for your booking Agent.

• Setup Price Code in services in the Product database with the cost given by Supplier and marking up services from the database by using DCM.

For system implementation, it is common to manage service selling rates using either method #1 or method #2 or sometimes a combination of both methods.

Initial planning on Price Code setup can be defined based on different Supplier Cost rates.

For example:

• Cost for specific Agent

• Cost for specific Country

• Cost for specific Market

• General cost for World Wide Market